Music Publishing & Songwriting

In the beginning, there was… publishing.

Not many people know it, since not many people in today’s music industry were around to see it, but the real beginnings of the music industry were not in those old vinyl discs or the antique phonograph with the RCA dog sitting next to it. The commercial music business started with music publishers, who first figured out how to move music beyond an endless succession of live shows, and turn it into an industry back at the end of the 19th century… through the sale of sheet music.

Back then; music publishing was the only game in town– both for songwriters hoping to eke out a living from their creations, and for audiences eager to be able to enjoy music outside of a concert of dance hall. Music stores would feature a piano player, who would perform the hot new songs of the day for customers passing by. If they heard something they liked, customers could come in and purchase their own copy of the song that they had just heard. Granted, that “product” had a definite do-it-yourself quality to it– it required the music consumer to take the sheet music home and learn to play the new song. Nevertheless, it represented the first time that people could purchase music as a “product”, enjoy it in the comfort of their own home, and songwriters could get paid on a mass scale.

From there, the business moved from sheet music to “piano rolls” from which the music played itself (the first actual “mechanical” exploitation of music) and then ultimately into the broadcast and recording era that has been the basis of the business we now know and maybe something less than love. Of course, sheet music continues to exist, and in fact, is undergoing a revival of sorts, thanks to the Internet and companies like Music Notes (Music Notes). But certainly, the industry has come a long way from the days when publishers were the primary game in town.

Or has it?

My friend Jerry Lembo, a legendary music figure himself and a great student of the industry (check out his blog at Jerry Lembo MySpace Blog), sent me an article today, titled Rock’s New Economy: Making Money When CD’s Don’t Sell. The story describes a terrain familiar to anyone in the music biz in 2008: falling CD sales, leading to an increased reliance on touring and licensing in order to generate income. And no one knows licensing like a publisher. After all, publishers created it.

Imagine how music publishers initially reacted to the advent of radio, and even worse, records, back in the early days of the 20th century. Probably with the same love that record labels now show Limewire and file-sharing college students. After all, publishers had just figured out a way to get rich selling music printed on paper– the last thing they needed was someone coming along and beaming it straight into people’s homes, or giving them plastic recordings they could play anytime they wanted. That’s when the publishing community hit on the bright idea that would carry them through the next nine, increasingly prosperous decades:

Licensing.

A company didn’t need to make a physical product. Just by controlling the underlying “rights” to a song, publishers and songwriters could make anyone who wanted to use that song, on the radio, television, records, or in films, advertising, nightclubs or elevators, pay for the privilege. Anyone using a song in public way for commercial purposes had to obtain a license, and the publishers controlled the licenses. This quickly became a very profitable business. The company, for which I work, Shapiro Bernstein, is one of the oldest music publishers in existence. Back in the early 1900’s, they had dozens of actual printing presses around the country in order to manufacture the sheet music to the latest Tin Pan Alley hit. Today, there are less than twenty employees in the New York office, and a scattering of employees and consultants in LA, London and elsewhere. And yet, profits continue to rise, year after year. Which leads us right up to the present day…

The music industry is growing and contracting, all at the same time. Music is selling less, and being used more than ever before. What publishers learned a hundred years ago, and what record labels are just starting to learn, is that licensing is far more efficient than manufacturing. It takes fewer people, fewer factories, less real estate and carries less risk to license music to people that wish to use it, than to create a physical copy of music for people to purchase. Bands are learning it too. It’s much easier to make money by licensing music to video games, advertisements, TV shows, and websites, than to create small pieces of plastic that has to be distributed and sold around the world. When the labels talk about a “360″– they’re more accurate than they know. The business of being a music creator has come full circle. Just as in the 1930’s, when sheet music gave way to broadcasts and recording, the game once again comes down to creating, performing and most importantly, licensing.

It used to be that old-school record business veterans almost boasted of their lack of knowledge about publishing. It was seen as a pennies business– a stodgy old conservative uncle who had somehow wandered in to the 24-hour party thrown by the high-flying, jet-setting record boys. Now most of those vintage music weasels have retired. The ones who haven’t are trying to start up music publishing companies.

Not understanding music-publishing means not understanding where the music business came from. But much more importantly, it also means not understanding where the business is going. If you want to get the picture in 12 easy steps, check out Music Publishing 101 at Berklee Music or “Making Music Make Money (An Insider’s Guide To Becoming Your Own Music Publisher)”. It’s time to go back to the future and start all over again.

As the year begins to wind down (all the weasels are packing their bags and running for the airport– probably trying to avoid the blizzard of oncoming pink slips flying around the office), it’s a good time for songwriters to take a day or two and assess where they are in their career, where they’re going, and what it will take to get them there. As to the last point, I’ve already got one good suggestion to consider:

Songwriters– You need a publisher.

Some of you probably already know this. Some of you might already have a publishing deal. Undoubtedly, some of you are probably asking the obvious question: “Why? Why would I need a publisher?”

In order to answer that, we actually have to circle back to the first two topics of consideration: where are you in your career, and where do you want to go? If you’re a songwriter, I’ll assume that you probably have some songs. Most songwriters don’t have a shortage in that area. What most songwriters lack are songs that generate income– that make money. If that’s where you are, and you’d like to get to a point where your songs can be the basis of a business, then a publisher is exactly what you need. Because that’s what publishers do.

Songwriting itself is not a business. It’s a sort of avocation. It’s just something you do. You create songs. This would explain why most of the time songwriters have a closet full of demos, and not a lot in the way of income.

Music Publishing, on the other hand, is indeed a business. That’s all it is. It is the business of deriving income from songs. When I wrote my book on music publishing, I called it “Making Music Make Money”. Songwriters create songs. Music publishers take those songs and figure out how to turn them into money, by getting the songs on records or the radio, in films or television shows, in advertisements or onto sheet music.

Sound good? I thought so. The goal then for 2008 is to find a publisher. There’s only one drawback. If your songs aren’t generating much in the way of income at the moment, it will be almost impossible to find a publisher who will be interested in representing you. Music publishers are primarily interested in representing writers who have already demonstrated at least the potential for commercial success. Bummer.

But don’t despair. The good news is that you already have a publisher. This person has been with you since you completed your first song. This person knows your catalogue note by note, and is unwavering in his or her belief in your talent. Before you go searching around the studio to find this person, and start yelling at them about why you’re not getting more cuts, let me clue you in:

You’re it. YOU are your publisher. The minute you complete a song, you are not only the writer of it, but you are also the publisher of it– and you remain the publisher until you assign those rights to someone else. The problem with most songwriters is not that they don’t have a publisher– the problem is that they’re not very good publishers. They’re doing the job as songwriters, but they haven’t learned how to take that work, and turn into into something that creates income. The real resolution for 2008 is not to find a publisher. It’s to learn to become a good publisher.

It’s not as easy as it sounds, nor as hard as you might fear. It does mean gathering a certain amount of technical knowledge about how royalties are computed, how money is collected and distributed, and how licenses are negotiated. It means learning to research projects, develop contacts, and pitch your songs. In order to be effective, it requires learning to listen to your own music critically, and making judgements about which songs are commercially viable, and which ones need work. If that sounds like a dirty job, then here’s the reality check:

Someone’s gotta do it. And you’re the only one who will. Until you can begin to work your songs into situations that at least have the potential to generate money, no publisher will suddenly be dropping by your apartment, wondering if you have any tunes that he or she can exploit. It’s up to you to get the ball rolling, and until you do, nothing will happen. Songwriting without publishing is a hobby.

The goal then for 2008 is to foster your inner music publisher. How do you do it? Study. Read “Making Music Make Money: An Insider’s Guide to Becoming Your Own Music Publisher” if you want a place to start. Check out Music Publishing 101 at Berkleemusic.com. The whole course is designed to walk you through the set-up of your own music publishing business.

Then while you’re studying, start doing. Pick up Billboard and start figuring out where your music fits into the market. Pick up tipsheets like “New On The Charts” to figure out who’s looking for songs. Pick up the phone, and start dialing for dollars.

The good news and the bad news is the same: it’s all in your hands. No one is going to turn your music into money– you have to show that it can be done. Trust me, once you do, there will be no shortage of large and small music publishers who will be happy to partner with you. But your first, and best publisher, will always be you. If you’re looking for one thing that can change your life as a songwriter, then this year’s goal is well-within reach. You need a publisher. And you’re it.